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Planning the scheme and preparing the Outline Business Case (OBC)


This is the detailed planning phase for the spending proposal which results in the production of the Outline Business Case (OBC). Christchurch Business Cases


Modern School DesignThe purpose of this stage is to revisit the shortlist developed in the SOC, undertaking more detailed economic analysis, considering the costs, benefits and risks of the shortlisted proposal in the round by calculating a Net Present Value (NPV) or Net Present Cost (NPC) for each option, identifying a “preferred option” which demonstrates value for money by optimising the balance of cost, risk and benefit.


The OBC also sets out the likely ‘Deal’; demonstrates affordability; and details the supporting procurement strategy, together with management arrangements for the successful delivery of the proposal.


This stage aligns with the Gateway Review point 2 (delivery strategy) and comprises of the following business case development framework activities:

The OBC summarises the results so far and sets out the facts seeking formal approval to proceed to a formal Procurement Phase.


But to do all of that, you'll need a great Economic Model (or 'cost model') - click the link at the top to get one that we've proven works, time and again.